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Top Traders: Is the Dollar Putting In a Bottom?

Is the US dollar close to finding a bottom?

Brian Kelly, founder of Kanundrum Capital, thinks the dollar may have put in a bit of a bottom formation. Kelly said the G-20 meeting this weekend will overall be bullish for the dollar. With other countries trying to devalue, he thinks the dollar is the better play. He remains long the dollar via the Dollar exchange-traded fund.

Joe Terranova of Virtus Investment Partners doesn't know if the outcome of the meeting will have a long-lasting effect. At the end of the day, the dollar trade has been about commodities, he said.

At action of Freeport-McMoRan over the past few days has been interesting, added Guy Adami of Drakon Capital. FCX is "clearly" a proxy stock for commodities, specifically copper. Being a negative dollar play, he noted that the stock has sold-off the past few days. That said, maybe it's trying to tell you something about where the dollar is going, said Adami.

Steve Cortes agreed that FCX did make a drastic fall to the downside. He also thinks the dollar is in the process of bottoming and he's long it.

Gold Prices Falling

Perhaps another sign of a strengthening dollar, said CNBC's Melissa Lee, is the falling price of gold. The precious metal broke down over the past five days, dropping 3 percent for it's first weekly decline in a month and a half.

Gold is moving away from the highs, said Terranova. Therefore, Freeport's stock is falling. Its prior ceiling was $87 to $89. If the stock is falling, he would leave some buy orders in.

Adami recommends having some protection in place because gold could fall further.

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CALL TO THE FLOOR: POLYCOM

After reporting better-than-expected earnings Thursday, shares of video conferencing company Polycom rose sharply Friday.

To talk about the positive earnings and the company's outlook, CEO Andy Miller appeared on Friday's "Fast Money."

Watch the video see the full interview.

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Trader disclosure: On October 22, 2010, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Guy Adami owns (AGU), (BTU), (NUE), (C), (GS), (INTC) and (MSFT). Joe Terranova owns (APA), (AAPL), (AXP), (C), (GOOG), (GS), (FCX), (IBM), (ISRG), (MCD), (MMM), (NKE), (ORCL), (PCP), (PEP), (PFE), (TBT), (UPL), (VRTS) and (XBI). Steve Cortes owns (K), (TSN) and the S&P 500. Cortes is short crude oil, gold, (RSX), the U.K. Pound.

For Joe Terranova:
Terranova is chief market strategist of Virtus Investment Partners, LTD.
Virtus Investment Partners own more than 1% of (ABAX)
Virtus Investment Partners own more than 1% of (ALK)
Virtus Investment Partners own more than 1% of (AMKR)
Virtus Investment Partners own more than 1% of (CASS)
Virtus Investment Partners own more than 1% of (CSVI)
Virtus Investment Partners own more than 1% of (IGE)
Virtus Investment Partners own more than 1% of (LDR)
Virtus Investment Partners own more than 1% of (LPHI)
Virtus Investment Partners own more than 1% of (MGRC)
Virtus Investment Partners own more than 1% of (NRCI)
Virtus Investment Partners own more than 1% of (DBV)
Virtus Investment Partners own more than 1% of (XLB)
Virtus Investment Partners own more than 1% of (XLP)
Virtus Investment Partners own more than 1% of (XLY)
Virtus Investment Partners own more than 1% of (XLF)
Virtus Investment Partners own more than 1% of (XLI)
Virtus Investment Partners own more than 1% of (XLU)
Virtus Investment Partners own more than 1% of (SUBK)
Virtus Investment Partners own more than 1% of (WDFC)
Virtus Investment Partners own more than 1% of (YDNT)
Virtus Investment Partners own more than 1% of (DRYS)

For Guy Adami:
Adami’s wife works at Merck

For Brian Kelly:
Accounts managed by Kanundrum Capital own (GLD)
Accounts managed by Kanundrum Capital own (GDXJ)
Accounts managed by Kanundrum Capital own (SLV)
Accounts managed by Kanundrum Capital own (GPRE)
Accounts managed by Kanundrum Capital own (ANDE)
Accounts managed by Kanundrum Capital own (UUP)
Accounts managed by Kanundrum Capital own Swiss Francs
Accounts managed by Kanundrum Capital are short the U.K. Pound

MICHAEL BLOCK
***No Disclosures***

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